Commercial Cigarette-Making Machines Operated at Retail Establishments
and the Taxation of Roll-Your-Own Cigarettes

Tobacco

09/07/2010

Moist Snuff Tax Rate and Classification Changes

Tobacco

07/01/2008

Cigarettes Sold in Washington
Required to be Reduced Ignition Propensity Certified

Tobacco

08/08/2008

Cigarettes Sold in Washington
Required to be Certified as Reduced Ignition Propensity Revised

Cigarette

04/13/10

Cigarette Tax Rate Increase

Tobacco

04/13/10

Cigarette Tax Rate Increase

Tobacco

04/15/10

Tobacco Tax Rate Increase & Definition Changes

DIRECTIVE:

RPM:

WTD:

24 WTD 413

05-0045

B&O
TAX – AGENT -- TOBACCO PRODUCTS.A
person who claims to be acting merely as agent in making purchases of tobacco
products will have such claim recognized, for B&O tax purposes, only when
the contract or agreement clearly establishes the relationship of principle
and agent and the person’s books and records comply with requirements of WAC
458-20-159.

24 WTD 413

05-0045

TOBACCO
PRODUCTS TAX – DISTRIBUTOR.The
Tobacco Products Tax is imposed only once, upon the “distributor,” as defined
in RCW 82.26.010.A person was liable
for tax as the distributor of the tobacco products when the person was
engaged in the business of selling tobacco products in this state, was the
first person who handled for sale tobacco products that were within this
state but upon which tax had not been imposed, and was not acting merely as
an agent in purchasing and receiving payment for the tobacco products.

24 WTD 413

05-0045

TOBACCO
PRODUCTS TAX – CLAIM OF AGENCY.It
would be incompatible with the recordkeeping requirements of Chapter 82.26
RCW to recognize a claim that a person was acting merely as an agent in
purchasing and receiving payment for tobacco products, when the person did
not maintain any records documenting the name and address of the alleged
principal or the dates and quantities of purchases allegedly made for the
principal.

24 WTD 413

05-0045

TOBACCO PRODUCTS TAX – CLAIM OF
AGENCY.The burden is on the taxpayer
to establish the existence of an agency relationship.The Department will not recognize a claim
that a person was acting merely as the agent of another in purchasing and
receiving payment for tobacco products when the taxpayer provides no evidence
that he or she was acting under the control of the purported principal.